cost of a data breach

The cost of a data breach refers to the financial and reputational expenses a company faces after losing sensitive information. This includes direct costs like notifying affected individuals, fixing security lapses, legal fees, and possible fines. It can also lead to indirect costs such as damage to the company's reputation, loss of customer trust, decreased sales, and increased cybersecurity insurance premiums. Overall, a data breach can significantly impact a company's financial stability and future growth, emphasizing the importance of strong security measures to prevent such incidents.